Issuance of 62+ Malta Government Savings Bond – October 2017

The Accountant General announces the second issuance of up to a maximum of €30,000,000 of the 62+ Malta Government Savings Bond. Malta capital markets had benefited greatly from the the last issuance in September. This Bond is being offered to:
  1. individuals born in 1955 or before who did not participate in the September 2017 issuance; and
  2. applicants who applied for more than €5,000 in the first issuance and whose amounts were not allocated in full. 

The 62+ Malta Government Savings Bond October 2017 Issue is being offered with similar terms and conditions to those of the September 2017 Issue. The bond earns interest at a fixed rate of 3% per annum for the duration of the bond until its maturity in the year 2022. The bond, which will be issued at par in units of €100, cannot be negotiated, assigned or transferred onto any other individual, and cannot be pledged. 

Interest is paid semi-annually in arrears on the 13th March and 13th September during the term of the bond. Bondholders may withdraw the whole amount invested before the maturity date subject to a penalty equivalent to 3 months’ gross interest on the principal withdrawn at the interest rate the bond is earning.    

The applications of the new applicants described at (i) above may be made for amounts up to a maximum of €10,000 and a minimum of €500. These applicants will be subject to the same allocation policy applied for the applicants of the first issuance of the 62+ Malta Government Savings Bond held in September 2017, unless the issuance is oversubscibed after such an allocation policy is applied 

These applicants are to apply by filling in Application Form A which may be obtained from and lodged at all authorised financial institutions and other authorised investment service providers. Application Form A may also be downloaded from the Treasury’s website as from Thursday 5th October 2017.  Subscriptions in the bond are to be made in the sole name of the applicant.

Applicants of the 62+ Malta Government Savings Bond who participated in September 2017 issuance and whose amounts were not accepted in full will receive a letter application (Form B) from the Treasury. These applicants who wish to particiate in this issue should sign and hand in the letter application at the bank or other authorised Investment Service Providers.  The applicants of the September issuance who do not wish to participate will receive the refund after the close of the October 2017 issue.  

Applications A and B will open on Monday 16th October 2017 at 8.30 a.m. and close at 5.00 p.m. of the same day, or earlier at the discretion of the Accountant General.  

More information may be found in the prospectus which is now available and can be downloaded from the Treasury’s website.